Barbara Lee Commemorates National Small Business Week
For Immediate Release
May 18, 2009
Contact: Nicole Y. Williams
(202) 225-2661
Washington, D.C. – May 17th -23rd is National Small Business Week. Congresswoman Barbara Lee released the following statement commemorating the week-long event.
“Small businesses are the backbone of the American economy. They create 60 to 80 percent of new jobs and employ over 50 percent of the nation’s workforce. As we seek to weather the current economic storm, it is important that we continue to nurture the job-creating potential of small businesses by providing them with the necessary tools they need to grow.
“Access to capital has been a recurring challenge for small businesses. While credit markets remain historically tight, the American Recovery and Reinvestment Act (ARRA) passed earlier this year is helping improve the flow of capitol to small businesses through a number of new and innovative programs. The ARRA makes it easier for small firms to get capital by increasing to 90 percent the government guarantee on SBA-backed loans and unfreezing the secondary market, which will help increase the flow of capital. Also, the newly created ‘Small Business Stabilization Financing Program,’ allows businesses to keep their doors open with a $35,000 loan, interest free. Since the passage of this legislation, the volume of new SBA-backed loans has risen more than 20 percent since mid-March, with more than $1.3 billion in new loans approved.
“Additionally, I have been working to ensure that minority and women-owned businesses have equal access to these federal dollars. To a large degree, these small businesses hire minorities and women from within their communities. By helping minority and women-owned business, we are helping to provide much needed jobs, training, and economic support that serve to empower communities of color and bridge the gap for equal pay.
“For our nation to survive the current economic downturn, we must nurture the entrepreneurial spirit that has been integral to the success of this country. Through the new provisions passed through the ARRA and existing programs at the Small Business Administration, we are giving small firms important tools they will need to lead our nation’s economic recovery.”